Value chain analysis of aquaculture feed in Tanzania.

A Dissertation 2019

Tanzania is among the countries which depend on aquaculture feed for their fish farming needs. Recent decline in fish volume captured from natural waters due to, climate change, illegal fishing and increased fishing effort due to growing population has resulted into has stimulated aquaculture production. This has created an opportunity for aqua-feed manufacturers to cope with increased demand for aqua-feeds. The present study aimed to analyze the value chain of aquaculture feeds in Tanzania using cases from, regions purposively selected due to their potential in feed manufacture, fish farming and fishing activities carried out by communities in the areas. The overall objective was to analyse the aquaculture feed value chain and establish its linkage with aquaculture production systems, in particular increasing of omega-3 in farmed tilapia and subsequently enhancing availability of the same to consumers in Tanzania. The overall sample size was 85 respondents, whereby; 7 were feed manufacturers and 78 were fish farmers. The study used descriptive statistics, logit model and Return on Investment (ROI) to analyse data. Results showed that: aqua-feed value chain in Tanzania involve four main actors; aqua- feed ingredients supplier, producer, Traders and fish farmers. Furthermore, feed price has positive influence on choice of aqua-feeds whereas extension visits, experience in fish ferming and age had a negative influence. Standardized aqua-feed is most profitable compared to unstandardized feed in fish farming practice. Also, investing in aquaculture sector is viable to both feed manufacturers and fish farmers along the chain. However, as well as these benefits, there costs incured in aquaculture production. The study revealed, sustainability of aqua-feed with reference to omega-3 LC-PUFA content depends on the government intervention to strengthen the chain that will eventually benefit consumers.